When it comes to long leasehold property in Brent Cross, you are actually buying an entitlement to live in a property for a set period of time. Modern flat leases typically tend to be for 99 years or 125. Even though this may appear like a lengthy period of time, you may think about a lease extension sooner as opposed to later. Accepted thinking is that the shorter the number of years is the cost of extending the lease becomes disproportionately more expensive particularly once there are less than eighty years left. Leasehold owners in Brent Cross with a lease nearing 81 years remaining should seriously think of extending it without delay. When the lease term has under 80 years remaining, under the relevant statute the landlord is entitled to calculate and demand a greater premium, based on a technical multiplication, strangely termed as “marriage value” which is due.
Leasehold residencies in Brent Cross with more than 100 years outstanding on the lease are often referred to as ‘virtual freehold’. This is where the lease value the same as a freehold interest in your property. In such situations there is often little upside in buying the reversionary interest unless savings on ground rent and estate charges merit it.
| Lender | Requirement |
|---|---|
| Accord Mortgages | 85 years from the date of completion of the mortgage. Please ensure that you explain the implications of a short term lease to the borrower. |
| Bank of Scotland | Minimum 70 years from the date of the mortgage. |
| Barnsley Building Society | 60 years from the date of the mortgage application subject to 35 years remaining at the end of the mortgage term. |
| Leeds Building Society | 85 years remaining from the start of the mortgage. |
| National Westminster Bank | Mortgage term plus 30 years. For Shared Ownership, the remaining term of the lease must be at least 75 years plus the term of the mortgage at the outset of the mortgage. |
Lease extensions in Brent Cross can be a difficult process. We recommend you obtain guidance from a conveyancer and valuer with experience in this area.
We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have a wealth of experience dealing with Brent Cross lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.
Henry was the the leasehold owner of a conversion flat in Brent Cross being marketed with a lease of a few days over 61 years left. Henry informally approached his landlord a well known Manchester-based freehold company and enquired on a premium to extend the lease. The freeholder was keen to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a new rent at the outset set at £200 per annum and doubled every 25 years thereafter. No ground rent would be payable on a lease extension were Henry to invoke his statutory right. Henry obtained expert legal guidance and secured satisfactory resolution informally and sell the flat.
Mr and Mrs. L Martin purchased a purpose-built apartment in Brent Cross in May 2004. The question was if we could estimate the compensation to the landlord could be for a ninety year lease extension. Similar premises in Brent Cross with 100 year plus lease were worth £275,000. The mid-range ground rent payable was £65 billed every twelve months. The lease lapsed on 12 February 2094. Taking into account 68 years remaining we calculated the premium to the landlord for the lease extension to be within £12,400 and £14,200 not including expenses.
An example of a Lease Extension matter before the tribunal for a Brent Cross residence is First Floor Flat 61 Wilberforce Road in March 2014. The premium payable was £10,130 and the case was remitted back to the Willesden County Court to effect the Vesting Order (Claim No 3W103100). This case affected 1 flat. The unexpired lease term was 71 years.